(From left) Verdant Solar Holdings Bhd substantial shareholder Ong Hsiao Loong; Mercury Securities Sdn Bhd managing director Chew Sing Guan; Verdant Solar Holdings Bhd non-executive director Po Yih Ming, non-ED Ng Kel Mynn, MD Lim Tzer Haur, non-executive chairman Jeremy Ong, chief operating officer Kee Tze Hui, non-ED Geetha Kandiah, and non-ED Fadli Riza Ramli; as well as Mercury Securities Sdn Bhd head of corporate finance Eric Chong Soo Keng at Verdant Solar’s listing ceremony here on Wednesday. (Photo by Suhaimi Yusuf/The Edge)
KUALA LUMPUR (Oct 22): Verdant Solar Holdings Bhd (KL:VERDANT) gained 19.35% on its ACE Market debut on Wednesday, with its share price closing at 37 sen as opposed to its initial public offering price of 31 sen.
The stock, which opened at 37 sen, swung between 38.5 sen and 36.5 sen before settling back at 37 sen after 120 million shares were traded.
The solid debut follows strong appetite during its IPO that saw retail investors oversubscribing the stock by nearly 40 times, amid bets on growing demand for renewable energy.
“Every step of our mission has been clear, which is to reduce the burden of electricity built through world-class solar solutions that enable sustainable living, while delivering the best customer experience,” managing director Lim Tzer Haur said in his speech at the listing ceremony.
Verdant Solar has been in the solar photovoltaic industry since 2015, initially marketing solar systems for residential properties before expanding into engineering, procurement, construction, and commissioning, as well as operations and maintenance.
The IPO raised about RM44 million for Verdant Solar and another RM22.8 million for Lim, his spouse Ng Kel Mynn, and substantial shareholder Ong Hsiao Loong cashing out part of their shares. All in all, the IPO raised a total of RM66.8 million.
Verdant Solar is prioritising growth and the company, valued at RM311 million based on its last price, is not planning to distribute dividends in the near term to allow reinvestment.
Mercury Securities is the principal adviser, sponsor, underwriter and placement agent for the IPO.
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